INTRODUCTION

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 CHAPTER 1

INTRODUCTION

General Introduction
The world is changing at a staggering rate and technology is considered to be the key
driver for these changes around us. An analysis of technology and its uses show that it has
permuted in almost every aspect of our life. Many activities are handled electronic due to
acceptance of information technology at home as well as at work place. Slowly but
steadily, the Indian customers is moving towards the internet banking. The ATM and the
Net transactions are becoming popular. But the customer is clear on one thing that he
wants net – banking to be simple and the banking sector is matching its steps to the
technology.

Virtual Banking which is also known as E-Banking or Online Banking is a generic term
for the delivery of banking services and products through the electronic channels such as
the telephone , the internet , the cell phone , etc .The concept and scope of Virtual Banking
is still evolving, It facilitates an effective payment and accounting system thereby
enhancing the speed of delivery of banking services considerably. Several initiatives have
been taken by the Government of India as well as the RBI ( Reserve Bank of India ); have
facilitated the development of Virtual Banking in India. The Government of India enacted
the IT Act , 2000 , which provides legal recognition to electronic transactions and other
means of electronic commerce. The RBI has been preparing to upgrade itself as regulator
and supervision of the technologically do maintained financial system. It issued guidelines
on the risks and controls in computer and telecommunication systems to all banks ,
advising them to evaluate the risks inherent in the systems and put in place adequate
control mechanisms to address these risks.

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Meaning of Virtual Banking
Virtual banking, also known as internet banking, web banking or home banking, is an
electronic payment system that enables customers of a bank or other financial institution to
conduct a range of financial transactions through the financial institution's website. The
Virtual banking system will typically connect to or be part of the core banking system
operated by a bank to provide customers access to banking services in place of traditional
branch banking.

Virtual banking significantly reduces the banks' operating cost by reducing reliance on a
branch network, and offers greater convenience to customers in time saving in coming to a
branch and the convenience of being able to perform banking transactions even when
branches are closed. Internet banking provides personal and corporate banking services
offering features such as viewing account balances, obtaining statements, checking recent
transactions, transferring money between accounts, and making payments.

It is any financial institution that provides traditional banking services online. This means
a customer can make account inquiries, get loans, pay bills online, and even withdraw and
deposit money whenever the customer pleases. It is sometimes also referred to as remote
banking, Internet banking, online banking, and phone banking.

Background of the Study

Banking has been always a highly information intensive activity that relies heavily on
information technology (IT) to acquire, and deliver the information to all relevant users. IT
is not only critical in the processing information; it provides a way for the banks to
differentiate their products and service in the market. Therefore, banks find that they need
to constantly innovate and update their information technology to retain their demanding
and discerning customers. This is to ensure that they can provide convenient, reliable, and
expedient services. Driven by the challenge to expand and capture a larger share of the
banking market, some banks invest in more bricks and mortar to enlarge their geographical

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and market coverage. Others have considered a more revolutionary approach to deliver
their banking services via a new medium called as internet.

Since the introduction of the internet in 1969, it has evolved from the sole domain of the
computer nerd and the academic to mainstream channel of communication (Newmzow.C,
1997). Recently, it has been rapidly gaining popularity as a potential medium for
electronic commerce (Crede, 1995). Today the internet is well on its way to become a full
– fledged delivery and distribution channel for the consumer oriented financial product
and services banks. Together with the rapid diffusion of internet, banking in cyberspace is
fast becoming an alternative channel to provide banking services and products.

The internet is now being considered as a strategic weapon and revolutionizes the ways the
banks operate, deliver and compete against one another, especially when competitive
advantages of traditional branch networks are eroding rapidly (Newmzow.C, 1997) ; 1
(Seitz, 1998). As “business week” noted “banking is essential to modern economy but
banks are not” (quoted in Financial Times,1996). This statement is supported by a recent
report from Booz Allen & Hamilton (Warner, 1996) that claims the Internet poses a very
serious threat both to the customer base of the traditional banking of oligopoly and its
profits. Indeed, the online banking has prompted many banks to rethink their strategies in
order to stay competitive. Customers today are demanding much more than banking
services. They seek new levels of convenience and flexibility (Brich, 1997); (Lagoutte,
1996) on top of the powerful and easy to use financial management tools and products and
services that traditional retail banking could not offer. Online banking has allowed banks
and financial institutions to provide these services by exploiting an extensive public
network infrastructure (Ternullo, 1997).

History
The first home banking service was offered to consumers in December 1980 by United
American Bank, a community bank with headquarters in Knoxville, Tennessee. United
American partnered with Radio Shack to produce a secure custom modem for its TRS-
80 computer that allowed bank customers to access their account information securely.

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Services available in its first years included bill pay, account balance checks, and loan
applications, as well as game access, budget and tax calculators and daily newspapers.
Thousands of customers paid $25–30 per month for the service.

Large banks, many working on parallel tracks to United American, followed in 1981 when
four of New York's major banks (Citibank, Chase Manhattan, Chemical,
and Manufacturers Hanover) offered home banking services, using the videotex system.
Because of the commercial failure of videotex, these banking services never became
popular except in France (where millions of videotex terminals (Minitel) where given out
by the telecom provider) and the UK, where the Prestel system was used.

The first videotext banking service in France was launched on December 20, 1983, by
CCF Bank (now part of HSBC). Videotext online Banking services eventually reached
19% market share by 1991.

The developers of United American Bank's first-to-market computer banking system

aimed to license it nationally, but they were overtaken by competitors when United
American failed in 1983 as a result of loan fraud on the part of bank owner Jake Butcher,
the 1978 Tennessee Democratic nominee for governor and promoter of the 1982 Knoxville
World's Fair. First Tennessee Bank, which purchased the failed bank, did not attempt to
develop or commercialize the computer banking platform.

Need of the study

The progress of electronic banking started with use of automatic teller machines and
afterwards it developed to online banking. In the future it will be done in mobile phones
(wap -enabled). Anyway online banking continues to be the best for financial transactions.
Virtual banking provides many advantages for banks and customer’s. Virtual banking has
made life much easier and banking much faster for both customers and banks.

1. Security Assured

Since online banking is one of the major services offered by banks, it is also a highly secure
platform. Banks generally use encryption devices to ensure that all client information is protected

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and there is no security breach. It ultimately provides you security from online frauds and
account hacking.

2. Access: No Problem
Even if it is the last day of your bill payment and you are minutes away from being levied
a penalty, you can rely on online banking. Online transactions can be performed anytime
of the day from the convenience of your home. Not just that, instead of being physically
present for huge amount of transactions, you can safely transfer funds at any time,
completely hassle-free.
3. No Hidden Fees
Despite the convenience being provided, there are no hidden fees associated with making
online transactions. All you are charged is a nominal transaction convenience and the rest
is managed by your bank.
4. Convenience Guaranteed
While easy access is one of the many benefits of online banking, it also makes banking
highly convenient. The need of waiting in long queues at the bank is completely
eliminated. Moreover, with mobile banking option available for most banks, transfers and
payments have become easier. Transactions can be completed on the go, whether you are
stuck in a traffic jam or in the midst of work. This makes it even easier to check your
balance before making cashless purchases to avoid embarrassment if your account doesn’t
have the balance to purchase everything on your shopping list.
5. Monitor Your Accounts Closely
Lastly, budgeting and managing your account is made simpler when you have access to e-
banking and a good budgeting application at your fingertips. Real time expenses can be
monitored while making purchases or estimating your monthly savings and expenses.
With all these benefits and many more adding to the list, it is difficult to opt out of using
facilities like online banking for smoother banking transactions.

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Advantages of Virtual Banking
1. 24/7 Access to your account and bank information

As long as you are connected to the internet, online banks are accessible all day long. In
fact, some advanced virtual banks raise the competition bar by providing you with 24/7
access to a real-life customer service agent. This becomes very beneficial in case you do
not have access to the internet, or if you feel more comfortable interacting with a human,
instead of a programmed computer algorithm.

2. Faster Speed and Efficiency

Recall that with the traditional brick-and-mortar banking institutions, you have to go
through the time-consuming stress of waiting in line to perform almost every banking
transaction such as applying for a loan or transferring funds. However, this is not the case.

Here, speed and efficiency is an advantage on your side as you do not have to wait. All
you have to do is log in and access your online account, and you can perform almost every
banking transaction (request a new credit card, lodge a complaint, etc.) without having to
walk down to a bank and wait in line.

3. Online Payment of Bill

The ability to pay bills online is one of the awesome advantages of online banking. In
traditional banking, you have to write checks or fill out forms to pay bills. However, with
virtual banking, all it takes is a simple click after you set up your accounts on your online
bank.

In fact, you can even automate the payments of your bills with a set time duration. With
this feature of online bill payment, it is easy to monitor your accounts from one central
source and to oversee the payments into and out of your account.

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4. Cost of Operation Is Cost-effective

Traditional banks have to pay for expenses that include rent, electricity, landscaping,
janitorial services, etc. However, virtual banks do not have to pay for these things and that
means they can pass these savings along to their customers.

Because they have a relatively reduced cost of operation, virtual banks tend to charge
lower fees than traditional banks. This is why there are a lot of virtual banks that provide
free online checking account with zero deposit, along with other no-fee bank accounts, like
IRAs. Some virtual banks enable free checking and zero minimum balance.

This is particularly useful if you are concerned that your application for an account may be
refused because of bad credit. You may be allowed to create a bank account online free of
charge. There is no need for a credit check, but there might however be ongoing fees.

5. High-Interest Rates

As a result of low overhead, virtual banks usually offer the best interest rates, regardless of
if you want a certificate of deposit, a high girl checking account, or deposit accounts with
high interest, like a money market account.

Other advantages include:

 The flexibility of its system

 Time-saving
 They are sensitive to the environment
 Easy occupation and user-friendliness
 Digital signs for security

Objectives of the study

The objective of this study is to measure the customers' awareness, perception, and the
level of satisfaction with regard to virtual banking services offered by the banks in various

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cities of India. The present study aims to explore the major factors responsible for virtual
banking based on respondents’ perception on various virtual banking services.

1. To Understand the mechanism of Virtual Banking

One of the important objectives of the study is to understand the mechanism of Virtual
Banking. This study shows us how Virtual banking actually works and what are the
different mechanisms on which Virtual Banking runs.

2. To know the types of Virtual Banking

The next objective of the study is to know and understand different types of Virtual
Banking. The study also shows and explains the types of the study in detail.

3. To analyze the level of awareness

The study shows and analyzes the level of awareness and satisfaction of Virtual banking in
respondents.

Limitations of the study

1. Limited to Awareness and Satisfaction

The study explains and makes us understand about Virtual banking. However, the study is
limited to awareness and satisfaction of the respondents.

2. Finding of Virtual Banking cannot be generalized

The next limitation of the study is that the finding of Virtual banking cannot be
generalized. The study has a vast concept and thus it cannot be generalized.

3. Sample size was limited due to time constraint

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As explained above the study has a vast concept and cannot be generalized, the next
limitation states that the sample size was limited due to time constraint.

Chapter Layout

The present study is arranged as follows:

Chapter 1: Introduction describes the concept of virtual banking.

Chapter 2: Is concerned with the theoretical view of the virtual banking.

Chapter 3: Research design describes the methodology used for implementing the study.

Chapter 4: Is concerned with the data analysis and interpretation of the primary data
collected from individuals.

Chapter 5: It summarizes the study of virtual banking.

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THEORETICAL VIEW

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 CHAPTER 2

THEORETICAL VIEW

Ways of Operating Virtual Banking

Basically, a virtual bank operates by allowing customers to conduct several business
activities online as a service. Their overall approach would remain tied to a physical
location, like a branch office. Virtual banks operate electronically.

Virtual banks operate through 3 simple ways: creating an account, transferring money in,
and then transferring money out.
1. Creating an Account
A virtual bank works when a customer, first of all, opens an account with the virtual bank.
This means the individual would have to fill out an online application and make a deposit.
The customer can submit the form online or simply print it and mail it.
To make the deposit, the customer would have to transfer money to the bank electronically
or send a check via mail. Before concluding this stage, the bank may also request that the
customer fax it a copy of their identification.
2. Paying Funds In
One way a virtual bank allows you to deposit money into a virtual account is by having
your employer deposit your paycheck directly into the account.
Also, it is possible for you to transfer funds from another bank or a PayPal account into
your virtual account. It also works by allowing customers to snail-mail deposits to the
virtual bank.
Conclusively, some virtual banks may operate by allowing you to take a Smartphone
picture of the deposit to carry out a transaction. Even if your virtual bank does not provide
this feature, PayPal does. Thus, you can transfer money from your PayPal account.

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3. Paying Funds Out
Just as with a traditional bank, virtual banks also issue debit cards, and a customer is also
allowed to order checks. With these provisions, you can buy products as you would
normally do. Additionally, virtual banks provide the option of paying bills online.
Although virtual banks do not have their own ATMs, they enable the operation of cash
withdrawal by allowing you to use an ATM machine that is owned by another bank.
However, the bank in charge of the ATM will most likely charge you for ATM withdrawal
fees, although virtual banks won’t. It is however possible that your virtual bank may
reimburse these charges.

Ways of Operating Virtual Banking

Creating an Account

Paying Funds In

Paying Funds Out

Forms of Virtual Banking

Below are different forms:

1. ATMs- An automated teller machine (ATM) is an electronic banking outlet that allows
customers to complete basic transactions without the aid of a branch representative or
teller. Anyone with a credit card or debit card can access cash at most ATMs.

ATMs are convenient, allowing consumers to perform quick self-service transactions

such as deposits, cash withdrawals, bill payments, and transfers between accounts. Fees
are commonly charged for cash withdrawals by the bank where the account is located, by

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the operator of the ATM, or by both. Some or all of these fees can be avoided by using an
ATM operated directly by the bank that holds the account.

2. Centralized fund management schemes- The Centralized Funds Management System

(CFMS), is a system set up, operated and maintained by the Reserve Bank of India
(hereinafter referred to as the ‘Bank’) to enable operations on current accounts maintained
at various offices of the Bank, through standard message formats in a secure manner.

The CFMS comprises two components – the Centralized Funds Enquiry System (CFES)
and Centralized Funds Transfer System (CFTS). These have been made available through
the following subsystems : - the Apex Level Server (ALS),

- the Local Funds Management System (LFMS),

- the Bank Level Funds Management System (BLFMS), and,

- the Local Banks Funds Management System (LBFMS).

3. An electronic clearance service scheme- The Electronic Clearance Service (ECS)

scheme provides an alternative method of effecting bulk payment transactions like
periodic (monthly/ quarterly/ half-yearly/ yearly) payments of interest/ salary/ pension/
commission/ dividend/ refund by Banks/Companies /Corporations /Government
Departments. The transactions under this scheme move from a single User source (i.e.
Banks/Companies /Corporations /Government Departments) to a large number of
Destination Account Holders (Customers/Investors). This scheme obviates the need for
issuing and handling paper instruments and thereby facilitates improved customer service
by the Banks and Companies/Corporations/Government Departments effecting bulk
payments.

The Scheme is in operation at 15 centers where Reserve Bank of India manages Clearing
Houses, 21 centers where SBI is managing ECS on behalf of RBI and 29 other centers
where PNB and other banks are managing ECS on behalf of RBI.

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4. Real Time Gross Settlement (RTGS)System- RTGS is a funds transfer systems where
transfer of money takes place from one bank to another on a "real time" and on "gross"
basis. Settlement in "real time" means payment transaction is not subjected to any waiting
period. "Gross settlement" means the transaction is settled on one to one basis without
bunching or netting with any other transaction. Once processed, payments are final and
irrevocable. This was introduced in 2004 and settles all inter-bank payments and customer
transactions above `2 lakhs.

Fees for RTGS vary from bank to bank.RBI has prescribed upper limit for the fees which
can be charged by all banks both for NEFT and RTGS. Both the remitting and receiving
must have Core banking in place to enter into RTGS transactions. Core Banking enabled
banks and branches are assigned an Indian Financial System Code (IFSC) for RTGS and
NEFT purposes. This is eleven digit alphanumeric code and unique to each branch of
bank. First four tells about name of bank and remaining seven tells about branch number.
This code is given on the cheque books, which are required for transactions along with
recipient's account number. RTGS is a large value (minimum value of transaction should
be Rs 2,00,000) funds transfer system whereby financial intermediaries can settle
interbank transfers for their own account as well as for their customers. The system effects
final settlement of interbank funds transfers on a continuous, transaction-by-transaction
basis throughout the processing day. Customers can access the RTGS facility between 9
am to 4:30 pm on week days and 9 am to 1:30 pm on Saturday. However, the timings that
the banks follow may vary depending on the customer timings of the bank branches.

5. Electronic Funds Transfer (EFT)- This retail funds transfer system introduced in the
late 1990s enabled an account holder of a bank to electronically transfer funds to another
account holder with any other participating bank. Available across 15 major centers in the
country, this system is no longer available for use by the general public, for whose benefit
a feature-rich and more efficient system is now in place, which is the National Electronic
Funds Transfer (NEFT) system.

6. National Electronic Funds Transfer (NEFT) System- In November 2005, a more

secure system was introduced for facilitating one-to-one funds transfer requirements of

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individuals / corporate. Available across a longer time window, the NEFT system provides
for batch settlements at hourly intervals, thus enabling near real-time transfer of funds.
Certain other unique features viz. accepting cash for originating transactions, initiating
transfer requests without any minimum or maximum amount limitations, facilitating one-
way transfers to Nepal, receiving confirmation of the date / time of credit to the account.

The key difference between RTGS and NEFT is that while RTGS is on gross settlement
basis, NEFT is on net settlement basis. Besides, RTGS facilitates real-time ("push")
transfer, while NEFT involves eleven settlements from 9 am to 8 pm on week days and
five settlements from 9 am to 1 pm on Saturdays. Thus if a customer has given instruction
to its bank to transfer money through NEFT to another bank in the morning hours, money
would be transferred the same day, but if the instruction is given later during the day,
money would be transferred next day.

• RTGS facility is available in over 72000 branches, while NEFT is available in little over
75000 branches of 100 banks. RBI has recently discontinued the EFT (Electronic funds
transfer).

• The minimum transaction value for RTGS is Rs 2,00,000, whereas there is no minimum
value for NEFT.

7. Mobile Banking System- Mobile phones as a medium for providing banking services
have been attaining increased importance. Reserve Bank brought out a set of operating
guidelines on mobile banking for banks in October 2008, according to which only banks
which are licensed and supervised in India and have a physical presence in India are
permitted to offer mobile banking after obtaining necessary permission from Reserve
Bank.

The guidelines focus on systems for security and inter-bank transfer arrangements through
Reserve Bank's authorized systems. On the technology front the objective is to enable the
development of inter-operable standards so as to facilitate funds transfer from one account
to any other account in the same or any other bank on a real time basis irrespective of the
mobile network a customer has subscribed to.

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Mobile banking has until recently (2010) most often been performed via SMS or the
Mobile Web. Apple's initial success with I Phone and the rapid growth of phones based on
Google's Android (operating system)have led to increasing use of special client programs,
called apps, downloaded to the mobile device. Mobile Banking refers to provision and
availing of banking- and financial services with the help of mobile telecommunication
devices. The scope of offered services may include facilities to conduct bank and stock
market transactions, to administer accounts and to access customized information.

According to the model of Mobile Banking can be said to consist of three inter-related
concepts:

• Mobile Accounting

• Mobile Brokerage

• Mobile Financial Information Services

Most services in the categories designated Accounting and Brokerage are transaction-
based. The non-transaction-based services of an informational nature are however essential
for conducting transactions - for instance, balance inquiries might be needed before
committing a money remittance. The accounting and brokerage services are therefore
offered invariably in combination with information services. Information services, on the
other hand, may be offered as an independent module. Mobile phone banking may also be
used to help in business situations.

8. Regional ECS (RECS)- Next to NECS, RECS has been launched during the year
2009.RECS, a miniature of the NECS is confined to the bank branches within the
jurisdiction of a Regional office of RBI. Under the system, the sponsor bank will upload
the validated data through the Secured Web Server of RBI containing credit/debit
instructions to the customers of CBS enabled bank branches spread across the Jurisdiction
of the Regional office of RBI.

The RECS centre will process the data, arrive at the settlement, generate destination bank
wise data/reports and make available the data/reports through secured web-server to
facilitate the destination bank branches to afford credit/debit to the accounts of

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beneficiaries by leveraging the CBS technology put in place by the bank. Presently RECS
is available in Ahmadabad, Bangalore, Chennai and Kolkata.

9. Telephone Banking- Telephone banking is a service provided by a financial institution,

which allows its customers to perform transactions over the telephone. Most telephone
banking services use an automated phone answering system with phone keypad response
or voice recognition capability.

To guarantee security, the customer must first authenticate through a numeric or verbal
password or through security questions. With the obvious exception of cash withdrawals
and deposits, it offers virtually all the features of an automated teller machine: account
balance information and list of latest transactions, electronic bill payments, funds transfers
between a customer's accounts, etc. Usually, customers can also speak to a live
representative located in a call centre or a branch, although this feature is not always
guaranteed to be offered 24/7.

In addition to the self-service transactions listed earlier, telephone banking representatives

are usually trained to do what was traditionally available only at the branch: loan
applications, investment purchases and redemptions, cheque book orders, debit card
replacements, change of address, etc. Banks which operate mostly or exclusively by
telephone are known as phone banks. They also help modernize the user by using special
technology.

10. Interactive Voice Response System (IVRS)- Interactive Voice Response System
(IVRS) is a technology that allows a computer to interact with humans through the use of
voice. In telecommunications, IVR allows customers to interact with a company’s
database via a telephone keypad or by speech recognition, after which they can service
their own inquiries by following the IVR dialogue.

IVR systems can respond with prerecorded or dynamically generated audio to further
direct users on how to proceed. IVR applications can be used to control almost any
function where the interface can be broken down into a series of simple interactions. IVR
systems deployed in the network are sized to handle large call volumes.

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IVR technology is also being introduced into automobile systems for hands-free operation.
Current deployment in automobiles revolves around satellite navigation, audio and mobile
phone systems. It has become common in industries that have recently entered the
telecommunications industry to refer to an Automated Attendant as an IVR.

The terms Automated Attendant and IVR are distinct and mean different things to
traditional telecommunications professionals, whereas emerging telephony and VoIP
professionals often use the term IVR as a catch-all to signify any kind of telephony menu,
even a basic automated attendant. The term VRU, for Voice Response Unit, is sometimes
used as well.

Reasons of Virtual Banking as a Future

The age of digital transformation is upon all of humanity. Indeed, the modern
developments in internet technology, the prevalence of smart devices, and the variations in
customer behavior have led to a skyrocketing increase in the establishment of virtual
banks.

Consequently, the majority of customers are significantly accepting virtual banking. In

addition, organizations like Japan Net Bank and Manulife Bank have laid down an
example of longevity and proven business models for other new virtual banks to
incorporate.

Therefore, the future of financial dominance is forecasted to be occupied by companies

like the New Virtual Banks in Mainland China and Hong Kong, and other innovative
virtual banks that have the potential to become very successful and eventually becoming
the major players in the world of Banking and Finance.

These banks focus on your online activity. As the Omni-digital approach is soon
to outnumber the Omni-channel one, banks need to cater to customers’ online requests. In
virtue of AI and machine learning, virtual banks’ staff will offer you a personalized
package of banking products. While physical branches’ managers sell all at once, virtual
banks’ workers may suggest the services you really need.

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Many banks use a 3D-Secure methodology, offering you to confirm your purchase in-app
or via a one-time pass code. Another security layer is entering your PIN code alongside
with your fingerprint or using face recognition. Some banks will send you personalized
links to enter the app. That eliminates passwords’ use and lowers the phishing threat.

The virtual banks have made a huge step forward in recent years and continue to grow the
market share. Recent studies share that customers show 88% of the satisfaction level when
it comes to digital-only banking (2018). That is 20% more than traditional banks’ positive
experience.

Indian view on Virtual Banking

Virtual banking is a new delivery channel for banks in India. The virtual banking channel
is both an informative and a transactional medium. A study on virtual banking in India
suggests that larger banks or banks with younger age, private ownership and lower branch
intensity possess high probability of adoption of this new technology. Banks with lower
market share also perceive virtual banking technology as a means to increase the market
share by attracting more and more customers through this new channel of delivery.
However, the service quality in virtual banking from customers needs thorough analysis to
find out the determinants for success and growth of new channel of delivery in India so
that useful guidelines for bankers can be extracted.

Another recent study in India investigated the factors that affect the adoption of virtual-
banking in India. These studies conclude that although virtual-banking offers new frontiers
of opportunities, there are several critical psychological and behavioral issues that need to
be addressed in trust, security, reluctance to change and a preference for human interface.
In the past, over 60% of existing bank customers have cited their bank selection to be
based on convenience of location. For the customers of today, convenience of location
includes the availability of 24-hour access via the Internet. Now a days financial service
companies are using the internet as a new distribution channel.

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The goals are:

• Complex financial products may be offered in an equivalent quality with lower costs to
more potential customers

• There may be contacts from each place of earth at any time of day and night.

This means that financial institutions may enlarge their market area without building new
offices or field services respectively. Because of its image as an innovative corporation,
better interacting possibilities, the usage of rationalization potential, the improvement of
its competitive situation by development of core competencies together .

The Reserve Bank of India constituted a working group on Internet Banking. The group
divided the internet banking products in India into 3 types based on the levels of access
granted. They are :-

1. Information only system :- General purpose information like interest rates , branch
location , bank products and their features , load and deposit calculations are provided in
the banks website. Their exist facilities for downloading various types of application
forms. The communication is normally done through email. There is no interaction
between the customers and the banks application system. No identification of the customer
is done. In this system , there is no possibility of any unauthorized person getting into
production systems of the bank through internet.

2. Electronic Information Transfer System :- The system provides customer specific

information in the form of account balances , transaction details and statement of accounts.
The information is still largely ‘ read only ‘ format. Identification and authentication of the
customer is through password. The information is fetched from the bank’s application
system either in batch mode or off-line mode. The application systems cannot directly
access through the internet.

3. Fully Electronic Transactional System :- This system allows bi-directional

capabilities. Transactions can be submitted by the customer for online update. This system
requires high degree of security and control. In this environment , web server and

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application systems are linked over secure infrastructure. It comprises technology covering
computerization , networking and security , inter – bank payment gateway and legal
infrastructure.

Access to one’s accounts at anytime and from any location via the World Wide Web is a
convenience unknown a short time ago. Thus , a bank’s internet presence transforms from '
brochure ware ' status to ' Internet Banking ' status once the bank goes through a
technology integration effort to enable the customers to access information about his or her
specific account relationship.

Global View on Virtual Banking

In UK, Darby (1999) agreed that the current banking brands are facing a revolution in the
way the customers are carrying out their transactions and states that traditional banks face
up to their online challengers. A recent report from Fletcher Research said that “around
200,000 people in the UK are already banking on line and predicted seven million would
be by 2002”. Also Vernon (1999) suggests that Internet will increase pressure on banks to
compete with rivals eager to tempt away their best customers. “By the year 2011 two
billion people will be on the Internet, representing 90% of the buying power on the
planet”. Most banks in U.K. are offering transactional services through a wider range of
channels including Wireless Application Protocol (WAP), mobile phone and T.V. A
number of non-banks have approached the Financial Services Authority (FSA) about
charters for virtual banks or ‘clicks and mortar’ operations.

There is a move towards banks establishing portals. Swedish and Norway markets lead the
world in terms of Internet penetration and the range and quality of their online services.
Almost all of the approximately 150 banks operating in Norway had established “net
banks”. In Denmark, the Internet banking service of various banks offers funds transfers,
bill payments, etc. Internet Banking in Australia is offered in two forms: web-based and
through the provision of proprietary software. Initial web-based products have focused on
personal banking whereas the provision of proprietary software has been targeted at the
business/corporate sector.

22
Most Australian-owned banks and some foreign subsidiaries of banks have transactional
or interactive web-sites. Online banking services range from FIs’ websites providing
information on financial products to enabling account management and financial
transactions. Customer services offered online include account monitoring (electronic
statements, real-time account balances), account management (bill payments, funds
transfers, applying for products on-line) and financial transactions (securities trading,
foreign currency transactions). Electronic Bill Presentment and Payment (EBPP) is at an
early stage. Features offered in proprietary software products (enabling business and
corporation customers to connect to the financial institutions (via dial-up/leased
line/extranet) include account reporting, improved reconciliation, direct payments, payroll
functionality and funds transfer between accounts held at their own or other banks.

In New Zealand major banks offer Internet banking service to customers, operate as a
division of the bank rather than as a separate legal entity. Reserve Bank of New Zealand
applies the same approach to the regulation of both Internet banking activities and
traditional banking activities. There are however, banking supervision regulations that
apply only to Internet banking.

Since the inception, Internet banking has experienced strong and sustained growth. the
world bank report on leapfrogging in e-finance pointed out that the three countries with
impressive progress in information technology in this sense are Estonia, Republic of Korea
and Brazil. Creation of the world’s leading electronic banking system has been done at a
remarkable low cost compared to other world-class internet banks.

In the European Union,60 million people, representing 18 per cent of the adult population.
use online banking in France, the number of online banking accounts is recording an
annual growth rate of 75 per cent. However, Estonia is the country that has become a
leader in Internet Banking not only among eastern European countries, but also in world
ranking, through a combination of easy to-use software, free-of-charge transaction and
behavior changes resulting from the influence of the Nordic countries IT culture on
Estonia.

23
Regulatory Framework of Virtual Banking
Constitution of the Working Group:

Reserve Bank of India constituted a Working Group to examine different issues relating to
virtual banking and recommend technology, security, legal standards and operational
standards keeping in view the international best practices. The Group is headed by the
Chief General Manager–in–Charge of the Department of Information Technology and
comprised experts from the fields of banking regulation and supervision, commercial
banking, law and technology. The Bank also constituted an Operational Group under its
Executive Director comprising officers from different disciplines in the bank, who would
guide implementation of the recommendations.

The Working Group, as its terms of reference, was to examine different aspects of Virtual
banking from regulatory and supervisory perspective and recommend appropriate
standards for adoption in India, particularly with reference to the following:

1. Risks to the organization and banking system, associated with Virtual banking and
methods of adopting International best practices for managing such risks.

2. Identifying gaps in supervisory and legal framework with reference to the existing
banking and financial regulations, IT regulations, tax laws, consumer protection and
suggesting improvements in them.

3. Identifying international best practices on operational and internal control issues, and
suggesting suitable ways for adopting the same in India.

4. Recommending minimum technology and security standards, in conformity with

international standards and addressing issues like system vulnerability, digital signature
information system audit etc.

5. Clearing and settlement arrangement for electronic banking and electronic money
transfer; linkages between virtual banking system and e-commerce

24
Approach of the Group:

The first meeting of the Working Group was held on July 19, 2000. It was decided that
members of both Working Group and Operational Group would participate in all meetings
and deliberations. The Group, in its first meeting identified the broad parameters within
which it would focus its deliberations. The Group further held that virtual banking did not
mean any basic change in the nature of banking and the associated risks and returns.

All the same, being a public domain and a highly cost effective delivery channel, it does
impact both the dimension and magnitude of traditional banking risks. In fact, it adds new
kinds of risk to banking. Some of the concerns of the Regulatory Authority in virtual
banking relate to technology standards including the level of security and uncertainties of
legal jurisdiction etc. Its cost effective character provides opportunities for efficient
delivery of banking services and higher profitability.

The Working Group decided to focus on above three major areas, where supervisory
attention was needed. Accordingly, three sub-groups were formed for looking into three
specific areas:

(i) technology and security aspects,

(ii) legal aspects and

(iii) regulatory and supervisory issues. The sub-groups could seek help of external experts
in the relevant fields, if needed.

Literature Review
Virtual banking is the provision of banking services via means other than traditional
physical branches. Currently, virtual banking exists in the forms of ATM, phone
banking, home banking and Internet banking. Virtual Banking as a concept in the literature
has been measured differently by different studies in the literature. Vast number of studies
has been conducted in performance of Virtual banking in India. Some of them are given
below:

25
Li, Zhong (2005), understanding people’s adoption intention of virtual banking can help
financial institutions formulate appropriate marketing strategies for new forms of banking.
It States the current trends in the Internet revolution that have set in motion in the Chinese
banking sector, and reports on an empirical research carried out in China to
study the customers’ preference for virtual banking and the factors which they
consider influence the adoption of virtual banking.

Dandapani, Lawrence (2008), identified the causes behind the failures of virtual banks.
This work underscores the importance of the varying financial metrics in the virtual
and brick and mortar banking channels, when analyzing bank failures. ‘‘Probit’’ analysis
on the failed virtual banks and the failed brick and mortar banks revealed that
the interest incomes in both banks are significantly different. The non-interest income
and non-interest expense (NIE) of the surviving banks and the failed banks are
explored to examine the causes for failure. The institutions must focus on controlling
the burden for virtual banks to succeed. Continuing studies could explore the
performance of Internet channels of existing brick and mortar banks. This study
underline the importance of the differing business models underlying the two banking
channels (virtual banks and brick and mortar banks). This is probably the first study to
examine the causes of failures of virtual banks and contrast them with brick and
mortar banks.

Uprit (2012), stated that the comparative study of real banking & virtual banking in India
and its role in fostering relationships with customers and giving them more value. The
proposed study includes the evolution need and relevant, forces driving, pros and cons of
real banking and virtual banking. Results have shown that virtual corporation (banking)
can produce financial rewards for the organization. The rapid increase of Virtual Banking
as a banking model has brought a new dimension to the banking industry. It has assisted in
offering low cost and convenient banking solutions to the traditionally unbanked lower-
end of the market through use of internet technology and Information Communication
Technologies (ICTs).This review shows that levels of customer satisfaction have changed
due to different banking services offered through Virtual Banking.

26
Kaseke, Charira, Muzondo (2012), approached to the main factors satisfying the
customers were convenience, service points always up, banking solutions are cheap,
instant update by banks, money is secure, and confidentiality. This study concludes that
the concept of Virtual Banking has been accepted by customers and customers are satisfied
with the banking model. The investigators recommended that there is need to create
awareness by commercial banks and improve access to technology for the customers to
realize full benefits and improve levels of satisfaction with Virtual Banking.

Srivastava (2013), mobile banking also termed as virtual banking can do wonders for the
economy, because these days in current scenario, the growth in economy is possible with
the help of financial inclusion, statistics reveals that it is very easy with the help of mobile
banking

27
RESEARCH DESIGN

28
 CHAPTER 3

RESEARCH DESIGN

Title of the project:

The present study is titled as "A Study of Virtual Banking". The study is made with the
reference to virtual banking and hence it covers the steps, types, forms and regulatory
framework.

Nature of Research:

The research study is descriptive and analytical.

Sampling size:

The sample size of the project is limited to 50 individuals and it is convenience sampling.

Data Collection and Methodology:

The purpose of the present study only primary and secondary data were used. Primary data
is collected through survey method using a structured Questionnaire. Primary data was
collected through survey method using to find information about awareness and
satisfaction of the individuals.

Scope of the study:

Time: The study of the research project was conducted from January 2022 to March 2022.

Unit: The study is limited to virtual banking of individuals assessed in Mumbai

Statistical Techniques:

The analysis was performed using percentage technique.

29
Presentation Tools :

The data analysis tools are series of charts, maps and diagrams designed to collect,
interpret and present data for a wide range.

In this data analysis process, the tables, percentage diagrams and graph charts are used.
Every aspect was taken separately to analyze it and convert it into statistical tools to easily
understand the results and interpretation.

30
DATA ANALYSIS &
INTERPRETATION

31
 Chapter 4

Data Analysis & Interpretation

1. Age : The following table classifies the respondents in four different age groups.

Table No. 4.1: Age Group of Respondents

Age Frequency Percentage (%)

18-30 42 82
31-40 3 6
41-50 3 6
50 & Above 2 4
Total 50 100

Figure No.4.1 Age Group of Respondents

Interpretation:
It is seen from the above table and pie chart that 82% of respondents fall under the age
group of 18-30, 6% fall under 31-40, 6% fall under 41-50 and the least that is 4% fall
under 50 & above. So it can be interpreted that the most respondents are of age group 18-
30 and the least respondents are of age group 50 & above.

32
2. Qualification : The following table classifies the respondents on the basis of their
education.

Table No. 4.2: Qualification of respondents

Qualification Frequency Percentage (%)

Under Graduate 27 54
Graduate 12 24
Post Graduate 11 22
Total 50 100

Figure No. 4.2: Qualification of respondents

Interpretation:
From the above table and pie chart it is interpreted that on the basis of qualification, out of
50 respondents 54% are Under Graduate, 24% are Graduate and 22% are Post graduate.
Therefore, it can be said that the majority of respondents are Under Graduate.

33
3. Occupation : The following table classifies the respondents on the basis of their
occupation.

Table No. 4.3 Occupation of Respondents

Occupation Frequency Percentage (%)
Student 33 66
Unemployed 4 8
Self Employed/Business 5 10
Salaried 8 16
Total 50 100

Figure No. 4.3 Occupation of Respondents

Interpretation:
From the above table and pie chart it can be interpreted that on the basis of occupation, out
of 50 respondents 66% of respondents are student, 8% of respondents are unemployed,
10% of respondents are self employed/ business, 16% of respondents are salaried. Hence,
it can be said that the most respondents are student.

34
Analysis of Study on Virtual Banking

Q.1. What type of bank is your account in?: The following table classifies the
respondents on the basis of type of bank respondents account is in.

Table No. 4.4 Types of bank

Types of bank Frequency Percentage (%)
Public sector bank 30 62.5
Private sector bank 23 47.9
Co-operative bank 9 18.8
Small finance bank 0 0
Payments bank 2 4.2
Total 64 100

Figure No. 4.4 Types of bank

Interpretation:
It is interpreted from the above table and figure that out of the 50 respondents, 62.5% have
account in Public sector bank, 47.9% have account in private sector bank, 18.8% Co-
operative bank, 0% have account in Small finance bank, 4.2% have account in Payments
bank. Hence it can be said that the most respondents have account in Public sector bank.

35
Q.2. In which bank do you have your account?: The following table classifies the
respondents in which they have their bank account.
Table No. 4.5 Respondents having bank account

Name of banks Frequency Percentage (%)

SBI 11 22
Central Bank of India 11 22
Bank of Maharashtra 1 2
HDFC 6 12
Axis 3 6
Others 18 36
Total 50 100

Figure No. 4.5 Respondents having bank account

Interpretation:
From the above table and pie chart it can be concluded that out of the 50 respondents, 22%
have their account in SBI, 22% have their account in Central Bank of India, 2% have their
account in Bank of Maharashtra, 12% have their account in HDFC, 6% have their account
in Axis, and the remaining 36% have their account in other banks. Therefore it is
interpreted that the most respondents have their account in other banks.

36
Q.3. Time period associated with your bank? : The following table classifies the
respondents on the basis of time associated with their respective banks.

Table No. 4.6 Time associated with bank

Time Frequency Percentage(%)

Less than a year 11 22
1 year to 3 years 25 50
3 years to 5 years 9 18
More than 5 years 5 10
Total 50 100

Figure No. 4.6 Time associated with bank

Interpretation:
It is interpreted from the above table and pie chart that out of 50 respondents, 22% have
their account for less than a year, 50% have their account for 1 year to 3 years, 18% have
their account for 3 years to 5 years, and lastly 10% have their account for more than 5
years. So it can be concluded that the most respondents have their account for 1 year to 3
years.

37
Q.4. Do you use virtual banking? :The following table classifies the respondents on the
basis of using of virtual banking.

Table No. 4.7 Using of virtual banking

Particulars Frequency Percentage(%)
Yes 46 92
No 4 8
Total 50 100

Figure No. 4.7 Using of virtual banking

Interpretation:
From the above table and pie chart it can be concluded that out of 50 respondents, 92% are
using virtual banking and the rest other that is 8% are not using virtual banking. it can aslo
be stated that most of the respondents are using virtual banking.

38
Q.5. In which bank do you use virtual banking?: The following table classifies the
respondents on the basis in which bank they are using virtual banking.
Table No. 4.8 Types of bank used for Virtual banking
Types of bank Frequency Percentage(%)
Public sector bank 23 47.9
Private sector bank 21 43.8
Co-operative bank 10 20.8
Small finance bank 1 2.1
Payments bank 7 14.6
Total 62 100

Figure No. 4.8 Types of bank used for Virtual banking

Interpretation:
It is interpreted from the above table and pie chart that out of 50 respondents, 47.9% are
using virtual banking in public sector bank,43.8% are using virtual banking in private
sector bank, 20.8% are using virtual banking in co-operative bank, 2.1% are using virtual
banking in small finance bank and 14.6% are using virtual finance in payments bank.
Therefore, it can be said that the most respondents using virtual banking are in public
sector bank that is 47.9%.

39
Q.6. Are you aware of the following virtual banking services being offered by the
bank?: The following table classifies the respondents on the basis if they are aware of the
virtual banking services provided by the bank.
Table No. 4.9 Services provided by the bank
Services Yes No Maybe
Internet banking 49 0 1
Mobile banking 42 5 3
Telephone banking 30 11 9
IVRS 25 13 12
Service at door step 30 12 8
facility
24 hours banking 43 4 3
Debit cum ATM card 43 4 3
Fast money transfer 36 9 5
(NEFT)
Easy inward 26 15 9
remittance facility
RTGS 31 10 9

Figure No. 4.9 Services provided by the bank

Interpretation:
From the above table and pie chart it can be stated that the respondents are getting various
types of virtual banking services from the bank and we can also conclude that the most
service given by the bank is internet banking and the least service provided by the bank is
IVRS.

40
Q.7. What are the reasons you prefer Virtual banking? : The following table classifies
the respondents on the basis of the reasons they prefer virtual banking.
Table No. 4.10 Reasons for preferring virtual banking
Reasons Frequency Percentage(%)
Sufficient choice of 25 50
transactions
User friendliness 25 50
Time saving 36 72
Cost saving 21 42
Easy handling of account 26 52

Figure No. 4.10 Reasons for preferring virtual banking

Interpretation:
It is interpreted from the above table and pie chart that out of 50 respondents, 50% are
preferring virtual banking because of sufficient choice of transaction, 50% are preferring
virtual banking because of user friendliness, 72% because of time saving, 42% because of
cost saving, and 52% because of easy handling of account. It can be concluded that
respondents are preferring virtual banking more because of time saving.

41
Q.8. How would you perceive about the virtual banking services? : The following table
classifies the respondents on the basis of perceiving the virtual banking services.
Table No. 4.11 Perceiving Virtual banking services
Particulars Not satisfied Satisfied Very satisfied
Ease of use 7 29 14
Speed of page 6 34 10
loading
Variety of 7 28 15
transactions
Visual design 11 24 15
Continuous services 7 30 11
Interaction 10 28 10
Understandable 7 30 11
page setup
Ease of navigation 7 27 14

Figure No. 4.11 Perceiving Virtual banking services

Interpretation:
It is interpreted from the above table and figure that the respondents are perceiving the
virtual banking services and the respondents are satisfied from perceiving the virtual
banking services. Some of the respondents are not satisfied by the services.

42
Q.9.How often do you use virtual banking?: The following table classifies the
respondents on the basis of how often they use virtual banking.
Table No. 4.12 Usage of virtual banking
Particulars Frequency Percentage(%)
Daily 16 32
Weekly 17 34
Twice monthly 7 14
Once in a month 7 14
Yearly 2 4
Others 1 2
Total 50 100

Figure No. 4.12 Usage of virtual banking

Interpretation:
From the above table and pie chart it can be interpreted that out of 50 respondents, 32%
use virtual banking daily, 34% use virtual banking weekly, 14% use virtual banking twice
in a month, 14% use virtual banking once in a month, 4% use virtual banking yearly and
rest 2% use virtual banking depending on the situation. It can be stated that respondents
use virtual banking mostly once in a week.

43
Q.10. Do you feel secured while doing online transactions in virtual banking? : The
following table classifies the respondents on the basis if they feel secured while doing
online transactions in virtual banking.
Table No. 4.13 Online transactions secure in virtual banking
Particulars Frequency Percentage(%)
Yes 42 84
No 4 8
Maybe 4 8
Total 50 100

Figure No. 4.13 Online transactions secure in virtual banking

Interpretation:
It is interpreted from the above table and pie chart that out of 50 respondents, 84%
respondents feel secure while doing online transactions in virtual banking, 8% don't feel
secure while doing online transactions in virtual banking and 8% are not sure if they feel
secure while doing online transactions in virtual banking. Hence it can be said that mostly
respondents feel secure while doing online transactions in virtual banking.

44
Q.11. What do you prefer, Virtual banking or Bank visit?: The following table
classifies the respondents on the basis of what they prefer between virtual banking and
bank visit.

Table No. 4.14 Virtual banking or Bank visit

Particulars Frequency Percentage
Virtual banking 40 80
Bank visit 10 20
Total 50 100

Figure No. 4.14 Virtual banking or Bank visit

Interpretation :
From the above table and pie chart we can interpret that out of 50 respondents, 80% of
them prefer virtual banking and 20 % of the respondents prefer visiting the bank.
Therefore, it can be concluded that the respondents mainly prefer virtual banking.

45
Specific Findings of the study:
It was found from the study that majority of the respondents:
1. Were in the age group of 18-30.
2. Were Under Graduates.
3. Were Students.
4. Were having bank account in Public sector bank.
5. Were having account in other banks.
6. Were associated with the bank for 1 year to 3 year.
7. Were using Virtual banking.
8. Were using Virtual banking in Public sector bank.
9. Were aware of the Virtual banking services provided by the bank.
10. Were preferring Virtual banking because of time saving.
11. Were satisfied perceiving the Virtual banking services.
12. Were using Virtual banking weekly.
13. Were feeling secure while doing online transactions in virtual banking.
14. Were preferring Virtual banking.

46
CONCLUSION

47
 CHAPTER 5

CONCLUSION
Whether corporate or individuals, everyone relies upon the virtual banks for even the
smallest transactions. Even the customers can escape the rush of the traditional banks with
the help of this technological advancement.

With virtual banking, we have come a long way to streamline human’s way of living. And
there is still a lot to conquer in the present technological era. Virtual banking is evolving
with the invention of high-end technology to serve the requirements of today’s busy
lifestyle. Virtual banking is a financial setup which provides numerous retail banking
services through a wireless network using an electronic device. The customers need not be
physically present at the concerned bank’s branch to carry out a transaction.

Thus from the above study it is evident that due to the increase of various virtual banking
services in banking scenario, the satisfaction level of customers increases day by day.
Banks should introduce various innovative ways of virtual banking services in order to
retain their customers with higher satisfaction level. At the same time there is the need that
private sector banks should review their charges and rationalize them so that customers
start getting the various virtual banking services at reasonable charges.
Customer orientation through various innovative ways of virtual banking services is the
need of the hour. When this is done, even the ultimate profitability of the banks will rise.
Thus overall satisfaction of customers, employees and banks will touch the higher level.
When investigating all the variables and the response by consumers, we can say that the
perception of the consumers may be changed by awareness program, friendly usage, less
charges, proper security, and the best response to the services offered.
Now a days the public sector banks also introducing various virtual banking services in
order to be contention with the private sector banks because a large section of Indian
population still trusts the public sector banks for their day to day banking activities.

48
In case of the consumers who don’t use virtual banking services, having all facilities at
their disposal, technology is not the biggest issue. Even though these people are inclined
towards the manual banking, these can be turned to potential customers, it is well proven
thing, which says the surrounding influences the individual’s behavior or in India only
environment that surrounds the public determines the behavior and decisions of the
individuals. So if consumer sees most of their colleagues or friends who surround him
using virtual banking then it may influence his decision to follow virtual banking option.

49
 BIBLIOGRAPHY/WEBLIOGRAPHY
Books:

 Dan Schatt, Virtual Banking: A Guide to Innovation and Partnering, 2014, John
Wiley & Sons, Inc.
 James Essinger, The Virtual Banking Revolution: The Customer, The Bank and
The Future, 1999, International Thomson Business Press, 1999.

Websites:

 www.google.com
 www.shodhganga.com
 www.virtualbanking.com
 www.iibf.org.in
 www.finance.com
 www.scribd.com

50
 APPENDIX

Questionnaire of the survey:

1. Age

 18-30
 31-40
 41-50
 50 & Above

2. Qualification

 Under Graduate
 Graduate
 Post Graduate

3. Occupation

 Student
 Unemployed
 Self employed/ Business
 Salaried

4. What type of bank is your account in?

 Public sector bank

 Private sector bank
 Co-operative bank
 Small finance bank
 Payments bank

51
5. In which bank do you have your account in?
 SBI
 Central bank of India
 Bank of Maharashtra
 HDFC
 Axis
 Others

6. Time period associated with your bank?

 Less than a year

 1 year to 3 years
 3 years to 5 years
 More than 5 years

7. Do you use Virtual banking?

 Yes
 No

8. In which bank do you use virtual banking?

 Public sector bank

 Private sector bank
 Co-operative bank
 Small finance bank
 Payments bank
9. Are you aware of the following virtual banking services being offered by the bank?
 Internet banking
 Mobile banking
 Telephone banking
 IVRS
 Service at door step facility

52
  24 hours banking
 Debit cum ATM card
 Fast money transfer (NEFT)
 Easy inward remittance facility
 RTGS

10. What are the reasons you prefer Virtual banking?

 Sufficient choice of transactions

 User friendliness
 Time saving
 Cost saving
 Easy handling of account

11. How would you perceive about the virtual banking services?

 Ease of use
 Speed of page loading
 Variety of transactions
 Visual design
 Continuous services
 Interaction
 Understandable page setup
 Ease of navigation

12. How often do you use virtual banking?

 Daily
 Weekly
 Twice monthly
 Once in a month
 Yearly
 Others

53
13. Do you feel secured while doing online transactions in virtual banking?

 Yes
 No
 Maybe

14. What do you prefer, Virtual banking or Bank visit?

 Virtual banking
 Bank visit

54